FSS International Investment Advisory Securities (FSSIA) has provided its latest assessment regarding the United States’ implementation of Section 301 tariffs. On July 23, President Donald Trump’s administration introduced new tariffs at a rate of 10 – 12.5% on imports from 60 countries, including Thailand. This policy replaces the previous 10% rate, which had expired.
According to FSSIA, this measure is viewed as neutral since it aligns with market expectations and remains close to the previous tariff level. Importantly, the similar tariff rates imposed on competing countries are expected to prevent any significant shift in competitive dynamics for Thai exporters.
Thai products now subject to the renewed tariffs include seafood, canned tuna, processed shrimp, pet food, ready-made garments, textiles, electrical appliances, auto parts, wooden furniture, and beverages. However, several Thai export categories have been granted exemptions. These exempt goods include natural rubber (HTS4001), certain fruits and related products such as coconut, pineapple, mango, fresh durian, as well as coffee, tea, and spices.
Furthermore, many electronics components have also secured exemptions. Semiconductors (integrated circuit), specific types of printed circuit board assemblies (PCBA), hard disk drives (HDDs), solid state drives (SSDs), and printed circuit boards (PCBs) for computer and telecom applications are not subject to the renewed tariffs. Notably, automotive electronics are not specifically mentioned, leading FSSIA to expect that these might remain subject to the new tariffs.
From the equity perspective, FSSIA points out that shares in food and beverage exporters (including TU, ITC, ASIAN, AAI, SAPPE, TKN, and STGT) have already adjusted to the tariff environment. For the electronics sector, several firms (HANA, CCET, SMT) benefit from exemptions, and in some cases (such as those for DELTA and KCE products) can pass-through tariffs burden.
